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Maryland Code, Commercial Law § 11-305

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Subject to the notice requirements of § 11-306 of this subtitle, in any action filed under this subtitle which is based on a termination or cancellation of a marketing agreement, it is a defense that the marketing agreement was terminated or canceled:

(1) By mutual agreement of the parties, provided however, that the mutual agreement is void and unenforceable unless it clearly states that it is not effective until the seventh business day after the date of its execution during which time either the dealer or the distributor have the absolute right to rescind such mutual agreement by written notice to the other;

(2) Because of the bankruptcy or insolvency of the dealer;

(3) Because the dealer failed to comply with an express requirement of the marketing agreement;  or

(4) Because the dealer failed to act in good faith in carrying out the terms of the marketing agreement.

Cite this article: - Maryland Code, Commercial Law § 11-305 - last updated December 31, 2021 |

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